Zimbabwe has launched gold coins to be sold to the public in a bid to tame runaway inflation that has further eroded the country’s unstable currency. The unprecedented move was announced by the country’s central bank, the Reserve Bank of Zimbabwe, to boost confidence in the local currency.
The coin is called ‘Mosi-oa-Tunya’ which refers to Victoria Falls in the local Tonga language. The coins will have liquid asset status so that they could be easily converted to cash and locally and internationally tradable. The cost of one coin was $1,824 at the time of launch.
Over the years, Zimbabwe has tried a variety of methods to get the situation under control as a result of the severe levels of inflation it has been experiencing for the previous ten years. Trust in Zimbabwe’s currency is low after people saw their savings wiped out by hyperinflation in 2008 which reached 5 billion, according to the IMF.
- Zimbabwe, officially the Republic of Zimbabwe, is a landlocked country located in Southeast Africa, between the Zambezi and Limpopo Rivers, bordered by South Africa to the south, Botswana to the south-west, Zambia to the north, and Mozambique to the east.
- The capital and largest city is Harare. The second largest city is Bulawayo.
- A country of roughly 15 million people, Zimbabwe has 16 official languages, with English, Shona, and Ndebele the most common. It was once known as the “Jewel of Africa” for its great prosperity.